The Grand Hyatt New York — Donald Trump’s first big Manhattan real estate windfall — will be torn down as part of a deal with developers to buy the Midtown hotel.
Developer TF Cornerstone and investment firm MSD Partners have agreed to buy the 26-story building, which stands next to Grand Central Terminal.
Trump partnered with Hyatt to buy what was then the Commodore Hotel and renovate it at a cost of about $100 million. The new hotel opened in 1980 after Trump milked $168 million, 42-year in tax breaks out of local government to complete the job.
Trump sold his share in the Grand Hyatt in 1996 for $140 million.
TF Cornerstone and MSD, which works as billionaire Michael Dell’s money manager, plan to house offices, retail and a scaled-down hotel in the new building, which would require city and state approval to complete.
Demolition will be complicated work, and instead of requiring a wrecking ball, it would mean workers taking apart the building in a more methodical fashion.